Amid ongoing scrutiny, an attorney representing victims of Boeing crashes disclosed to Scripps News that the Department of Justice is extending a plea deal to the aerospace manufacturer for federal fraud charges.
The DOJ asserts that safety lapses such as the door panel detachment on an Alaska Airlines flight breach a protection settlement agreement made in 2021 between Boeing and the Department of Justice, following two fatal crashes involving 737 Max jets. Some relatives of the crash victims argue that criminal charges are long overdue.
Paul Cassell, the attorney advocating for the families of Boeing crash victims, stated, “Boeing has committed the gravest corporate crime in U.S. history, resulting in the deaths of 346 individuals. Furthermore, Boeing has failed to fulfill its responsibilities to enhance its safety protocols.”
Cassell composed a letter urging the DOJ to take action, stating, “[Boeing has] had three years to rectify its conduct, but has been unsuccessful in doing so. It is time for a vigorous advancement of criminal prosecution.”
Corporate criminal prosecution is a substantial undertaking that commonly culminates in a settlement or a plea agreement. Examples include BP’s payment of $4 billion in penalties for the Deepwater Horizon oil spill and Norfolk Southern’s $310 million settlement with the Justice Department following a train derailment in Ohio.
Former SEC attorney Marc Steinberg anticipates a similar outcome in this case, commenting, “Regardless of any protests, a settlement is inevitable.”
One aspect frequently absent in these cases is individual accountability, as Steinberg pointed out, “Why target the company when the decisions are made by individuals? This is a longstanding practice of both the Justice Department and the SEC.”
Notably, executives implicated in significant scandals like the BP oil spill, the 2008 financial crisis, and the opioid epidemic have not faced incarceration.
If the DOJ chooses not to file charges, many experts, including Steinberg, anticipate the appointment of an independent monitor to supervise reforms within the company.